In-person, digital and virtual primary care organization 1Life Healthcare Inc. (ONEM:NASDAQ)'s healthcare service, One Medical, which combines a holistic approach with its technology-powered platform to make quality care more accessible and affordable, and Amazon.com Inc. (AMZN:NASDAQ), today announced that "they have entered into a definitive merger agreement under which Amazon will acquire One Medical."
Under the terms of the acquisition agreement, Amazon has agreed to pay One Medical shareholders $18.00 per share in cash for each share owned. The report stated that the transaction is valued at about $3.9 billion including adjustments for One Medical's net outstanding debt.
Neil Lindsay, SVP of Amazon Health Services commented, "We think health care is high on the list of experiences that need reinvention. Booking an appointment, waiting weeks or even months to be seen, taking time off work, driving to a clinic, finding a parking spot, waiting in the waiting room then the exam room for what is too often a rushed few minutes with a doctor, then making another trip to a pharmacy – we see lots of opportunity to both improve the quality of the experience and give people back valuable time in their days…Together with One Medical's human-centered and technology-powered approach to health care, we believe we can and will help more people get better care, when and how they need it."
One Medical's CEO Amir Dan Rubin stated, "The opportunity to transform health care and improve outcomes by combining One Medical's human-centered and technology-powered model and exceptional team with Amazon's customer obsession, history of invention, and willingness to invest in the long-term is so exciting."
"There is an immense opportunity to make the health care experience more accessible, affordable, and even enjoyable for patients, providers, and payers. We look forward to innovating and expanding access to quality healthcare services, together," CEO Rubin added.
The merger transaction remains subject to approval by One Medical's common shareholders, ordinary closing conditions, and regulatory approval. The report noted that plans are for current CEO Amir Dan Rubin to continue his service in that capacity after the purchase has been completed.
Amazon.com Inc. is headquartered in Seattle, Wash. and with a market cap exceeding $1.2 trillion needs no introduction. The company is engaged in the direct and third-party retail sale of consumer products through physical and online stores worldwide via its North America, International, and Amazon Web Services (AWS) business segments. The firm additionally manufactures and sells electronic tablets and devices, offers direct publishing services, fulfillment services, and produces and distributes media content. Through its AWS services and separately, the firm also provides computer, storage, database, analytics, AI and machine learning, and other services.
One Medical is a national primary care organization based in San Francisco, Calif. that employs what it refers to as a human-centered and technology-powered seamless approach to digital and inviting in-office healthcare. The company operates under a membership-based primary care practice model. The firm's network serves 12 major U.S. markets and offers members 24/7 access to virtual care. One Medical presently provides medical health benefits for employees at greater than 8,000 companies.
One Medical started off the day with a market cap of around $1.9 billion with approximately 194.0 million shares outstanding and a short interest of about 8.6%. ONEM shares opened 67% higher today at $16.965 (+$6.785, +66.65%) over yesterday's $10.18 closing price. The stock has traded today between $16.90 and $17.275 per share and is currently trading at $17.13 (+$6.95, +68.27%).
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